Daily Routine Management (DRM) in a Chinese Joint Venture
Identify and implement some Operation's Excellence practices as well as implement some Lean Productivity practices
Western tier 1 automotive parts company
A Western tier 1 automotive parts company requested Asia Manufacturing Services to identify and implement some Operation's Excellence practices. An assessment was made and Daily Routine Management (DRM) was implemented followed by defining new factory layouts, upgrading training programs and controls, updating Standard Work Instructions, and defining weekly reviews.
A western tier 1 automotive parts company was in process of purchasing a greater percentage of shares from its Chinese joint venture partner. Upon acquisition of ownership, the western company wanted to start receiving its return on investment.
The western company senior management knew Asia Manufacturing Services and requested them to identify and implement some Operation's Excellence practices as well as implement some Lean Productivity before and after the share acquisition.
An assessment was made of the organization, business processes and practices, and material flow. Several immediate recommendations were made such as training and implementation of Daily Routine Management (DRM) for all staffs and production workers.
This was followed by upgrading its Operator Training and Management system by having a Skills Training Matrix in each work-cell, having a key contacts list in each work-cell, and having a standardized DRM board in each work-cell showing Quick Response Quality Control, Hourly Productivity Management, and other important information. This was followed by a comprehensive equipment re-layout and manpower plan.
As the staffs and operation's team were accustomed to previous ways, it was highly challenging for them to cooperate with each other and make improvements as a team. A step-by-step approach was taken whereby one manufacturing line was changed, tested, and proved operational before another line was changed. The first line improvement yielded a 125% productivity improvement and reduced WIP by 3 days. However, even after everyone acknowledged the improvements the operation's staffs continually wanted to revert to its old ways and would find ways to do so.
The senior management team started to have weekly factory walk around meetings to ensure the newly implemented systems and practices remained in place as well as identification of other opportunities for improvements. In addition, the senior management team met weekly to highlight the upcoming improvements and begin the journey to have a Kaizen culture. This company is methodically implementing World Class Manufacturing Systems.